charles: the highlight reel for the week. by the way, i brought clorox wipes. because you didn't get the flu shot. >> i actually can walk and talk. stuart: let the message go out loud and clear. you will treat my courtroom with respect. charles: you want to pay for a whole lot of people's education, but you cannot afford to send your own kids to school. come to california. there are parts of this country where people should be looking at housing without a doubt. >> they need to look out foreclosures. those prices are going to be low. charles: stuart says they are the best investment you can

make. monica, it was fantastic having you on the show today. dagen, you are all by your self. dagen: i know, charles. it is the best investment you can make with someone else's money. thank you so much. take care. the northeast now seeing the beginning of white out conditions that are expected to last well into tomorrow. schools and businesses closing. the impact on our economy and stock market today. we take you from miami all the way to los angeles. a rebound in the housing market. buyers no longer in the drivers seat. inventories are tight and home prices are finally going up

again. right now it is about stocks. stocks now and every 15 minutes. nicole: i was watching 14,000. we are at 14,002. last friday we had the new high at 14,009. it will be interesting to see whether or not we get near that close and take it out. we are up about 60 points on the dow jones industrials. i have to tell you, majority of the names on the dow have of arrows. back to you. dagen: thank you so much. bracing for what could be a historic blizzard. we have the chief forecaster from whether bell joining us now from cleveland. can we delay this on how this

storm can be changing? >> new york city, long island, northern new jersey, the battleground between rain and snow into the evening hours. that will cut the accumulation enough so this is not a devastating storm in new york city. once you get more or abuse, the population will see 15-25 inches of snow. these places will be shot from one-2 feet of snow. the wind gusts will approach hurricane force tonight. that will with the snow into mountainous drifts. this is part of the beginning of the worst of winter for the united states.

right now we are basking in the warmth in the warm places. you will see a parade of storms from the carolinas to california. it will impact the country economically. four weeks ago i was saying this will turn around. dagen: i do want to ask you this. just yesterday i got multiple alerts via my cell phone from the national weather service with the blizzard warning. i got a phone call from the local police. i got a phone call from a local lawmaker. i got a phone call from the local power company. that was more than i heard about this storm. before hurricane sandy. frankly, it started to cause a bit of a panic. people running to atm machines, as an example.

is that really warranted? >> i do not know. all i care about is the weather. dagen: the level of warning? >> it depends on how you feel about 2 feet of snow. i dream of these things. for other people, suppose you are 65-70 years old and you cannot get out. you are bottled up for two or three days. that is a problem. i think, as far as that goes, they are making sure they err on the side of caution. it will go down as one of the bigger storms we have seen. we have been getting back to the good old days when it used to snow. i was talking to bill o'reilly one night saying that it does not snow like it used to when i was a kid. it is starting to snow like it used to in the old days. dagen: for people owned

four-wheel-drive vehicles. some other knucklehead goes in a front wheel drive and it causes -- remember that pileup on the new jersey turnpike a few years ago? >> what happens is snow melts and then it refreeze it is. people are moving along like it is nothing. it is almost like there is a videogame mentality. you have to be very cautious. when it snows and you make one mistake, you are in the ditch. look, it is a major storm. there is 2 feet of snow across much of southern new england. there is no question it will be a great storm. on the other hand, how did people ever get along in the 40s, 50s and 60s?

they used to hit quite often. they are starting to hit more often. dagen: we did not have all of these strip models and all of gardens to go to. we stayed at home and watched tv if we had power or we just stop by our fire with our family. the good old days. >> you do not want to overdo it, but on the other hand, it will have economic impact. the tentacles of the weather are into everything globally these days. dagen: well said. great to see you. thank you so much, joe. >> my pleasure. thank you for having me. dagen: do you think that the federal government has a spending problem? 83% think yes. stephen coplan joins us now from boston.

good luck leaving the studio, but thank you for getting here this morning. do you think that this feeling expressed in this poll will have any impact on what the people in washington do? >> yes, it will. they are sensitive to what voters think. they know spending has to be addressed. it does have an affect. dagen: with the lackluster growth that we have seen, there is an argument being made for the spending that has already been cut, 22-23%, focusing on that, are we already see the impact? >> yes, but i would pack up a

little bit further. what we are seeing in the sluggish economy is the impact over ten years plus. two tax cuts, to wars and also the household sector has gotten overleveraged. that is beginning to heal. the problem is we are still working over the impact that has happened over the last ten-15 years. looking at the data, the recent government spending is more of a continuation of things that have been put in place, but it has to be addressed and there has to be entitlement reform and a lot of the spendings have to be addressed. i am confident there will be some action on this. dagen: we are spending an entire day talking about real estate. in terms of the burden put on government to support the

market, how important is it to reform that because, again, if housing gets weak again, then now falls on uncle sam and the taxpayer? >> this is why you are not seeing the government act too quickly on fannie mae and freddie mac. they know that they have to perform, restructure and in some cases eliminate what these two entities do. they do not want to undermine the housing market because it is such a big part of this housing recovery. that is why you are seeing them move more slowly. i think you will see reforms made. it will be slow because the government does not want to do anything to interrupt the housing recovery. the second thing is helping, in addition, is the fed.

the fed creating easy money. it is hurting a lot of people, particularly seniors who are on a fixed income. it is driving people to buy riskier assets. the government has got to take advantage of both of these things and do some spending cuts and they have to move on that. dagen: robber, it was great to see you. be safe getting home. have a great weekend. the governor of connecticut, malloy, has created a state of emergency. roads are subject to closure at noon today in the state of connecticut. bank of america went back a $2.5 million mansion in florida that has been occupied by a squatter since december.

he tried to use an old florida state law to try to take possession of the home. one party may acquire title by occupying land and paying real estate property taxes for at least seven years. the state attorney decided the law was antiquated and a trespassing charge could apply if the man stayed in the home. the home has already been vacated. we take you to four cities across the country and died right into real estate. one of the most affluent regions in new jersey is and demand once again. to the hollywood hills and one of the biggest real estate agents in this country. a man you will recognize for other reasons. condos finally getting gobbled up. a breathtaking luxury home in

los angeles with a view that kills. robert gray will talk to that man. one of the top real estate agents in the nation. they are also a reality tv star. you will recognize him and drool over the properties you will see. whether already wreaking drabek ♪ all stations come over to mission a for a final go. this is for real this time. step seven point two one two. rify and lock. command is locked. five seconds. three, two, one.

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dagen: the northeast preparing for what could be a record snowstorm. if you are planning to travel this way, you are not going anywhere. 4000 flights already canceled ahead of the storm. airports are expected to close later this afternoon.

forget the train if you are heading north. amtrak halting service from newark to boston. road closures will start around noon in the state of connecticut. and as of now, airlines will try to resume flights by tomorrow afternoon. right now, quarter past the hour, socks -- stocks now and every 15 minutes. nicole: linked in. the highest point since it ipo. here it is right now. they easily beat the street. let's take a look at activision. they are the makers of call of duty. very popular over the holiday season. you see the stock up almost 15%.

back to you. dagen: thank you so much, nicole. parts of the northeast bracing for up to 3 feet of snow. we have the latest forecast coming up. ♪ [ male announcer ] how can power conmptionn china, impact wool exports from new zealand, textile production in spain, and the use of medical technology in the u.s.? at t. rowe price, we understandheonnections of a complex, global economy. it's just one reason over 75% of our mutual funds beat their 10-year lipper average. twe price. invest with confidence. request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing.

dagen: you are looking live outside our studio in new york city. conditions are only expected to get worse as the day goes on. adrian will tell us where conditions are the worst right now. >> we have had some pretty nasty conditions. we have the snow extending into the hartford area. some spots in and around new york city still seeing some snow. some spots are already transitioning to rain. it will be transitioning back to snow as we had closer to the evening hours. a lot of places picking up

one-2 feet of the white stuff. dagen: can you call those sweet spots? [ laughter ] 3 that depends. dagen: adrian, they give so much. some of the best real estate in the country is actually right in our backyard. i am talking about new jjrsey. we have been talking about this house which is on the market $2.6 million. take a look at the kitchen. i think you would probably enjoy this. a homelike news which is the multiple offers, we have told

you the mortgage albers, if you finance this with 25% down, you will be looking at a payment of roughly $12,000 a month. we have been talking about the inside all morning long. 8.3% year over year. largest sale price increase since 2006. let's look at the medium price of homes in new jersey. we peeked in 2007. $363,000. last year, the median sale price was 302,000. prices are going up, but they have not recovered to where we were at the peak of the market.

they said if you are a seller, no better time than now to put your house on the market. what people think as the spring selling season, because they are getting multiple offers, now is the time to get the house on the market according to the real estate agent in somerset county. dagen: adam, thank you for that. you will be with us all day long. cannot wait to see that whole house from top to bottom. d.c. housing market is hotter than mercury. should we be afraid? this sounds horribly trite, but how hot is it? >> well, it is very hot. i would not call it a sweet spot. i called this the recovery. heavily government driven.

there are some people cutting into the market. part of the reason we are seeing this slide into the market is the competition is huge. we have a lot of competition from other countries. it is show me a million dollars and you can come in and buy housing in the united states. dagen: does that leave the traditional buyer out in the cold? >> this is not a traditional homeowner recovery. this is an investor recovery. bernanke pushed interest rates so low.

fha is very active in the market. dagen: summit, though, buyers because of the availability of fha credit, because of near record low mortgage rates , so that people start to think about starting to buy whether it is first time or maybe you can sell the home you are already in? >> you have to compete on every single property with multiple offers. what happened to the sequestration? apparently, that is not hitting d.c. as we thought. eventually, it will hit.

animal spirits, herding behavior, we are seeing people jump into the market. the investors are pushing the action so much. we are seeing traditional buyers come back in. inventories are still thin. do not forget about that. dagen: i was thinking, anthony, i do not know if it is a good think that the animal spirits have been read i did or if it is a bad thing. if real estate prices go up, i suppose it is good. >> not necessarily.

we are not increasing that much. mostly investors and mostly immigrants. dagen: thank you. phoenix double-digit price increases, seven straight months. i was blown away by that. anthony, thank you so much. we have taken due to the east coast. we are going to head down to florida and california. wayne rogers is a longtime real estate investor, commercial real estate even. what he thinks about the market right now. take a look at homebuilder stock as well. ♪ great, everybody made it.

we all work remotely so this is a big deal, our first full team gathering! i wanted to call on a few people. ashley, ashley marshall... here. since we're often all on the move, ashley suggested we use fedex office to hold packages for us. great job. [ applause ] thank you. and on a protocol note, i'd like to talk to tim hill about his tendency to use all caps in emails. [ shouting ] oh i'm sorry guys. ah sometimes the caps lock gets stuck on my keyboard. hey do you wanna get a drink later? [ male announcer ] hold packages at any fedex office location.

dagen: stocks now and about every 15 minutes. the cool looking at homebuilder's. nicole: you know they have had the greatest year. it is down about half a percent. when you talk about pulpy homes, over the last 52 weeks, this stock is up about 115%. the rest of the group has been very similar to that. on this day when fox business is doing coast to coast, we know the housing market has been underway. dagen: my next guest has spent

the bulk of his career as a real estate investor. he knows the entire country. both residential and commercial real estate. wayne rogers is here. he is chairman of wayne rogers and company. hey, wayne. >> hello. if i were that smart, i would be somewhere else. dagen: l.a., florida, southwest, parts of the rockies. i am not wrong. you have a good view of real estate. talk about residential first. do you think that some of these markets are getting ahead of themselves? >> well, they may be. the stocks may be a little bit. if you bought a housing etf right now, that would be a good investment. we know all housing is local. we know that from the fallout of the recession. california was hurt, nevada was

her, arizona, particularly, hurt. these markets are now doing very well. you can have housing good in one area and bad in another area. the local banks are being hamstrung by the fdic and are not making the loans that they used to make. they are not making -- their credit is so tight. that is what is hurting housing right now. new housing is doing very well, but the credit is what is hurting. dagen: wayne, a lot of the fires that you see, they are foreign investors. they are all cash buyers. does that demand eventually run

dry? >> the housing is mostly local. you have a huge influx of south american and european people. people ran out of things like crazy. people left france. that helped the new york city market, for example. things like that, on nonbelief happened in the market from time to time. in general, housing is still going to be, there will be demand. it will not be cut off.

dagen: wayne, thank you for being here. it was great to see you. wayne rogers. they are working and one of the most attractive markets. you can recognize him from a hit reality television show. here is a look inside a home that you are about to see. then we have katrina campins on condos. how hot has that market, and in just the last month? thirty year mortgage rates around the country. how much does it cost you to get into one of these properties? ♪

>> im diane macedo with your fox business brief. european leaders moving closer to the first ever budget cut in its history. officials say there is a broad framework in place. even if the deal clears the eu, it must also pass the european parliament. the u.s. trade deficit unexpectedly narrowed in december. according to the commerce department, the trade gap fell

on the drop of oil imports and hire exports. 16% say they are late at least once a week. the most common excuse is traffic. that is the latest from the fox business network. giving you the power to prosper. ♪ [ shapiro ] at legalzoom, you can take care of virtually all your imptant legal matters in just minutes. protect youramily... and launch your dreams. at legalzoom.com we put the law on your side. your financial advis should focus on your long-term goals, not their short-term agenda. [ male announcer ] join the nearly 7 million investors who thinlike you do. face time and think time make a difference. at edward jones, it's how we me sense of investing.

dagen: talk about a recovery. the number of homes sold for $5 million or more hitting a record number in california last year. that is where we find robert gray. in the hollywood hills above los angeles with real estate agent, well, extraordinaire. tell him i am looking at that very house.

i was just dreaming. >> we will see if we can get a deal for you. this is one of the hottest areas. by no means can we say l.a.'s total realist market is back. the one area that is back is on the luxury in. we brought in the real estate extraordinaire. tell us why this is back so quickly, just a couple years after the crash. >> thank you for having me. we have seen the luxury end coming back. people are believing in the real estate. they are going deep and long. they are spending a lot of money. they are excited to pick up some really great homes. >> about $14 million. >> this particular house is

about $14 million. it is in the coolest neighborhood in the city right now. it is where we have a lot of celebrities living. such as jennifer aniston just sold her house over there. leonardo dicaprio just lives down the street. this is the really cool, hip area. >> we have seen the prices go to never bus -- we have seen the prices go to never before seen levels. >> there is a sensation that we do have a long way to go. we are reaching $3000 a square foot. we believe we can get to the 4000-$5000 a square foot. we are excited where this market can keep going. robert: we are seeing a lot of cash buyers, right? >> yes.

we are seeing a lot of international buyers. people feel good about the international real estate. it has been named the coolest place on the planet right now. these views are amazing. it is very exciting stuff. robert: we have seen it start to slowly come back on the market. how will that come into play on keeping versus high? >> we call it off market stuff. supply is low. it is very difficult to find a property. there is a bidding war again. it is unbelievable what is happening. robert: we talk about the prices staying firm here. what about on the luxury and? >> i think it will start affecting and cause fear.

we will start to see a lot more purchases and volume in the short run. over the next couple years, we are definitely seeing a rise in sales. robert: with that, i will send it back to you. dagen: ask him one thing. he went out and found his agency how much business total are they doing as an agency right now annually? robert: dagen asked a very good question. you founded your very own agency. how much business have you been doing? >> thank you for asking. just under a billion dollars in our first year of existence. we are very excited about that. we are certainly seeing a lot more volume coming in and a lot more growth.

we are looking forward to changing a little bit of the old ways that people used to do business. robert: thank you so much for joining us here on fox business. not too shabby. dagen: i would say so. thank you. people that recognize him, it is because he is on the real housewives of beverly hills with his noodle bowl wife kyle richards. thank you so much. from the golden state down to sell more sunshine, florida was one of the hardest hit housing markets. it is now on its way to recovery. katrina campins is the founder of campins industry. thank you for joining us.

>> as a whole though florida housing market is definitely on its way to a recovery. there are many points that indicate this. we have a six-nine months supply. there is a healthy balance between buyers and sellers. we are seeing a dip below inventory levels, low equilibrium, i should say. that is causing multiple offers on properties and buyers are actually becoming a bit frustrated because they are not able to locate the perfect property because of the lack of inventory.

the long term and demographic favors florida. it continues to provide a foundation for economic development which includes jobs and income growth. florida in general is slated to be the third largest state in the nation. dagen: what about the buyers are for buyers? just in the real estate transactions in which you have been involved? >> it is interesting you bring up that point. a lot of our transactions are coming from the international environment. buyers from brazil, buyers from europe in general. it is definitely helping the florida market. i would say a large percentage. a lot of these deals are coming from people migrating from colder climates. i have a lot of snowbirds coming down here. florida is looking more and more

attractive. regard to the luxury market, it is doing extremely well. of course, you do not have the obstacle you have in the lower-priced market because you have a lot of cash buyers. a lot of people who continue to have money. that way you are continuing to see a lot of these bidding wars. dagen: i have heard stories. i have heard stories in terms of miami, particularly. the condo hotels became a very tricky proposition when the financing dried out. are you seeing some of the financing come back for those properties? >> not specifically. a lot of developers are staying away from those properties. i have seen many developers planning new projects. the condo hotel market has really not revamped the same

way. you are just being straight up condos which i think is healthier for the market. with regard to financing, it is still, you know, difficult to get financing these days. dagen: katrina, it was great to see you. be well. i wish i was where you are. that helps your business. we have one bad snowstorm here and it makes people rethink living here. >> i will be in new york this coming week, though. dagen: let us know. we will get you on set. take care. here it comes. that massive winter storm making its way into the northeast. grounding planes and stopping trains and business. we will tell you who is making money on this. take a look at winners on the nasdaq today. ♪ [ male announcer ] let's say you pay your guy around 2% to manage your money.

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dagen: we continue to watch this blizzard approach to the northeast. the snowfall is already making impact. we will be talking about which businesses when and which ones lose from a storm like this. how will this storm be? maybe we are lucky it is happening over a weekend.

>> we are really lucky. there are two storm areas. everything south of new york city will be hit "fast and furious." right around rush hour today. that will slow things down. then it will be gone by the morning. everything north of new york city will be just a mess. it will be an old-fashioned blizzard. it will shut things down for several days. snowblowers, which have not had a great year on the east coast, will have very high sales within the next 24 hours. hats, scarves, everything which is on clearance now will move.

supermarket shelves will be out of stock. most important of all, online sales this weekend in the northeast will go through the roof because people will be stuck at home with absolutely nothing to do except sit. dagen: and shop and spend. unfortunately. what about the losers? the obvious losers would be movie theaters, any kind of dining out establishment, what else am i missing? >> anything that is not really need based for a store. any type of malt driven traffic, apparel store, electronic store, anything that we do not need to get through the storm will be a loser. dagen: it was great to see you. be safe. i am only going places where i can walk.

i look like i am about ready to drive a snowplow in my winter boots. it was great to see you. one of the men behind president obama's economic policies and that does include housing, for birch chairman of the council of economic advisers is coming up with dennis and cheryl. fox business digs even deeper into the real estate story. ♪ i'm a conservative investor. but that doesn't mean i don't want to make money. i love making money. i try to be smart with my investments. i also try to keep my costs down. what's your plan? ishares. low cost and tax efficient. find out why nine out of ten large professional investors choose ishares for their etfs. ishares by blackrock. call 1-800-ishares for a prospectus which includes investment objectives, risks, charges and expenses.

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shell casone. coming up on markets now it is about housing, fox business looking at their real story. dennis: joining us this hour one

of the men behind president obama's housing policy, former chairman of the council of economic advisers austan goolsbee. cheryl: the new york housing seen changing almost overnight from a buyers to sellers market. sandra smith will sell us what you can buy for just $2.7 million. dennis: on the west coast robert gray in the exclusive hollywood hills where the number of homes sold for $500 or more has the new record. look at this beauty. stocks every 15 minutes, nicole petallides on the floor of the stock exchange. nicole: we had a $14,000 mark and pull back a little bit and saw some up arrows. we are not up for the week however, we did close last friday at 14,009 and today we are at $13,993. the market is pretty good, $518 million vs $79 million, retail stocks and bank stocks

doing well. also wanted to get the a o l shares which are storing today, doing well on their ad revenue so sales numbers are very good, also announcing a stock buyback program of $100 million. you could see mr. armstrong in the 3:00 p.m. show with liz claman so stay tuned to fox business for that. breaking news about chase if you want to get your money. chase branches, snow tyler, chase branches in new york and new jersey and connecticut will close at 2:00 p.m. eastern time with the exception of syracuse and rochester. in the tristate getting ready for the storm. cheryl: businesses getting ready for sure. as we tell the real-estate story here at fox business day economist in washington meeting to discuss the economy's impact on housing market. dennis: peter barnes inside the beltway with their take. peter: they believe in the

getting better and housing market recovery looks sustainable. the chief economist at mortgage giant freddie mac out with his projections this morning, says there has been a spate of positive housing news recently and he expect the momentum to continue. >> total home sales of 8% to 10% in 2013 compared to 2012 and we expect a favorable news on house prices to continue as well. house prices are up 4% to 6% compared to the year prior, 3% to 4% increase in national house price indices in 2013. peter: and new home construction continuing to rise 25% last year compared to the year before and expecting another 20% increase in housing starts for this year. he also sees mortgage rates inching up from 3.5% right now for a 3-year fixed rate loan but

remaining below 4% for this year but he does worry about anything that could hurt the economy which could hurt the man -- demand for housing like not on effect from the budget battles in washington. dennis: thank you, peter barnes. the obama administration has gone to extraordinary lengths to fix the housing crisis, programs that help the faulting homeowners stay in their homes and refinance underwater mortgages, multibillion-dollar find on banks over alleged foreclosure errors but have those government efforts slowed down recovery they were supposed to help? joining us is former chairman of president obama's council of economic advisers austan goolsbee now professor at the university of chicago school of business. thanks for being with us. what do you say? what you think of these programs? some people in the real business world think it got in a way of

recovery. >> that sounds to me a little out there. i think the amount the government can do to fix a $20 trillion market is somewhat limited and we have seen that in -pa lot of areas but to say the efforts taken by the government broadly defined, not the administration but a lot of things done by the fed and others that they actually hurt the housing market is pretty inaccurate. dennis: did it keep the supply of empty vacant foreclosed homes on the market much water because of efforts to try to allow stop paying the mortgage or fall months behind to stay in their homes instead of letting the market take it over and kick them out? >> that is a bit of an exaggeration. if you look at the efforts directed to prevent foreclosure, they were usually of the form getting houses, payments on those houses down to be some

affordable level and you have seen more than 1 million people avoid foreclosure because of those efforts. they saved several thousand dollars a year. dennis: some of these programs you put in place, 1 ten million households in america, only a few hundred thousand bothered to sign up. let's look at one case. the government did a big settlement from the banks, $8 billion in penalties, we will review every foreclosure case that happened in the two year period, they were ready for transfer of wealth to consultants and lawyers and ultimately that entire process of a foreclosure review was slowing down and keeping homes sitting there instead of freeing them. why not let the market takeover and let the pain have a maximum and don't try to ease the pain and we will get through it faster? >> you have two questions. on the legal matter that is not a policy decision. that was a legal case.

i wasn't involved in that. the question why not foreclose everybody who is in trouble and let the market sort it out, i think you know evidence is pretty strong that if you live in a house and your making your payment but the neighbors on either side of you foreclosed on their house that has a pretty negative impact on the house prices of everybody else in the neighborhood so you get these spillover neighborhood effects that are highly damaging. that is why you don't want to have widespread contagious for closure. dennis: great point. like the new professorial -- this is a new look, i bet you have patches on that, even an academic might have to -- >> need to get a little beard going. dennis: a banana academic would have to admit some of the government policies that led up to and inflated the bubble are superlow interest-rate infringing banks to hand out loans to anybody you ask. was a good well-intentioned

effort and yet those policies contributed to the big meltdown. you would concede that. >> i would agree with that. dennis: do you worry this recovery is relying on the same measures? i know a guy who wrecked finances, just on a subsidized loan, 3% down payment, are we doing it again? >> so far i don't think we are. we should definitely be mindful not to live out the onion joke headline which said furious nation demands new bubble to invest in to restore prosperity. let's not try to live that. economists on both sides look at the rise of fannie and freddie's business model pre crisis where it privatize the profits of socialized losses as a very negative outlook that we reinvent that system, shame on us. dennis: let's parade is not happening again. thanks for being with us

professor austan goolsbee. good day. cheryl: let's bring in the president of new york capital, austan goolsbee talking about the housing crisis, fannie and freddie, a big problem with the housing recovery. investors trying to find other ways to deal with fannie and freddie, circumvent them if you will. >> that is the discussion we just had. i do believe the policies over the last few years that went in there did delay the process, did drag out how you could get delinquent homeowners out of their homes and let the markets work but where we stand today is the new regulatory environment is making the housing market other aspect -- asset classes more difficult for banks to own to hold so these regulatory actions are forcing banks to be less involved. freddie and fannie are dominating the mortgage market, somewhere this summer they represented into the 90s. the idea and the administration wanted to bring down the presence in the residential

mortgage market is not -- it has gone up by private money is flowing its way in and looking to seek opportunities. cheryl: it is like mortgage services, trying to find those investment opportunities. >> you are seeing a lot of money, a wealth of funds on the sideline. the lot of money had been deployed from firms with hedge funds, looking to buy mortgage intelligence, looking to buy the servicers, long capital, short on people and what we are seeing right now is these folks are the point capital, they are going to be loaned themselves. you hear these stories about renting, buying homes, and selling these. cheryl: you are recommending something, of the run assets. we talked about mortgage service companies, you are also saying people looking to profit from student loans, automobiles, credit cards, trucking, what the main body of the run.

these and mastercard. >> think about the world securitization the residential mortgage market gets the most headlines, $11 trillion market for the size, talk about loans that ended up being packaged in securities and sold to investors and the crisis has to a certain extent a these assets less desirable, less easy to hold and there was money flowing into the market to buy these assets of a ready market we're talking about the uptick in housing and comparable products, loans for credit cards and student loans we talk about an banks less willing to hold these assets and a number of traditional investors so we call them off the run because they required due diligence, investigation, paid for by get right. cheryl: fourth quarter gdp, part of that was the storm, massive storm. are you worried? >> the storm certainly to keep guns out of the economy will roll back in because there will be building projects and money

falling in, take our hits that as you see online shopping and a lot of money spent at at desks. cheryl: i like that. thank you very much. good to have you here. dennis: and northeast seeing the beginning of snow white out conditions expected to last well into tomorrow. businesses are closing, expect low-volume for traders that they get in early, janice dean the weather machine and with the forecast, the fox weather center. cheryl: real-estate story continues. sandra smith in downtown manhattan which change from a buyer's to a seller's market. almost overnight. >> manhattan real-estate is booming. $2 million condos like this one we're sitting and i selling fast. who is buying? who is telling? the changing demographic of man and real-estate. that story coming up. ♪

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share at quarter past the hour stocks every 15 minutes, nicole petallides live from the stock exchange. what is happening with that stock? >> the stock had a stellar run, the fourth day and a rose is reporting quarterly numbers better than expected profit, this week alone, the stock is up 28% so when you think of zynga and farmville jumping once again up 11%. let's look at how we are fairing with major market averages. it is below 13 per day. the dow jones industrials hit a pair dean thousand mark and pull back a little bit but still a gain of 51 points with a majority of the dow components

holding green arrows today. and wall street across the board for retailers to drugs and transport higher oil services. dennis: thank you. the real estate story, new york style, the newest nickname neighborhood. cheryl: sandra smith joins us, you are standing at an apartment, $2.3 million. nicole: it is and it is 1900 square feet, and actually in charge of selling this particular property. two bedrooms, 1900 square feet, this is man hadden, this is what you pay, selling these quickly in this environment. >> absolutely. we have people coming from all over, demographics, big demographic change. we have some international,

deciding not to move and sustain -- the young professionals who want to work very nearby. basically every single demographic in the world -- cheryl: one thing i found was a lot of young families, single folks who marry and have a kid, they stay in the city and buy properties like this with two veterans, what amenities do they look for? >> a washer and dryer. it features in an apartment because they don't want to go to the basement. and they have a lot of luxury. cheryl: a spacious kitchen for a new york apartment is probably a necessity. >> exactly. they want to be able to entertain and look at their kids when they are actually cooking. that is why this type of kitchen

is very much in demand. >> talk about international buyers, are they taking out loans are paying cash? >> most of them it is all cash. domestic buyers -- >> who are those buyers in general? whereby they making money? old money? new money? >> we are seeing much more new money than old money. old money they are still going into different areas in the city but a whole new generation of money coming in. cheryl: we have to leave it there but the baby boomers are choosing not to buy in sunny florida. they would rather have a place in the city by the shows and restaurants. >> in florida they want to go to restaurants, they want to go to the opera, they want to take a taxi and instead of driving everywhere. >> fascinating. thanks for joining us. $2.5 million, we are on 30th street by the empire state building. you are close to all that stuff

and that is the elegance of living in manhattan in the real-estate market thriving. cheryl: i cannot believe what i am seeing in manhattan. open houses i'm sure you are finding out, packed across the city right now. it is a crazy time to be in manhattan real-estate. great stuff. take a look at this breathtaking luxury home in los angeles that has a view that kills. robert gray talks to the top real-estate agents in the country on how much it will cost to move into this property. get your checkbooks ready. dennis: the snow not even near full blast but already wreaking havoc on travelers. the latest from the airport and railways. cheryl: as we get to break we go -- look at how currencies are faring, the currency war happening, you can see it on your screen. dentures are very different to real teeth.

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cheryl: blizzard warning across the northeast and record snowfall, travel and business disrupted.

dennis: janice dean is in the weather center with the latest details. >> twenty-three million people under a blizzard warning from new york all the way to maine. these two storms are going to combine together off the coast to give us a blockbuster nor'easter that could be historic for areas like boston. let's break it down. at 1:00 we are dealing with a rain event in new york city which could talk our snow totals back a little bit but as we go through the next few hours it is going to really windup and the snow will start to fly as of 6:00. getting home is going to be difficult. people are advised to try to get home as early as possible because overnight that is when the worst will come not only of snow but wind. we could see wind gusts of 40 miles an hour for hours, 12 to 18 hours in some cases. that will cause our concerns. people along the east coast who are vulnerable to power problems, this is a big event because we will see wind chills in the lower teens, even single

digits. people without power, this could be dangerous. over 12 inches in the area you see in pink and we could see upwards of 12 to 24, even three feet of snow in the boston ariane and that would make it for the record books for that region. we will keep an eye on it and want people to be really careful out there. for all the kids that enjoy the snow is coming on the weekend. dennis: our concerns, very disturbing for raise and we're still not fully recovered from hurricane sandy. cheryl: minorities does not need this. dennis: residents are looking to stock up on supply and protect their homes. home depot has 115 stores in the region and working hard to keep those shelves stocked. joining us on the phone from boston home depot at new england regional vice president, thanks for being with us. your entire career could live or

die on this storm. you are getting hit in the northeast. what is the hardest thing about what you have to do and what are you doing about it? >> toughest part is making sure we get our customers taken care of. as you stated early on before coming to this, this has been an area of the country that has been pretty hard hit over the past couple years. when you think about i mean and sandy customers are very aware of the debacle these these storms create and are turning to home depot to stock up on the supplies they need to get to but those -- dennis: those 115 stores, how many distribution centers do you use to supply those stores? at you increase that tried to move goods closer to those stores in some way? >> we is a couple different distribution centers and distribution methods. the reality is we keep storm, particularly winter storm related goods with in the stores this time of year anyway. as we looked out and forecast the weather and the models

changed drastically as you know over the course of the week, this storm would be flurries, that has changed quite a bit and so as the week progressed and the updates came we continued to to start flowing additional product not only to the stores but closer distribution centers to get to the stores and customers quickly. dennis: when we do the spike up and going out to buy shovels and salt to spread around, is that a net gain in your business or does it come out of what we would have spent in the following week so there's no upside for you? >> our business is very weather sensitive. i would ask you to think of it in three phases. pre storm, during store and post storm. pre storm is consumers really prepare. certainly a spike and lift in business. you go through the course of the storm and think of today as a great example where most states have asked their citizens to get off of the roads by noon.

there's obviously a loss during that portion. and post storm, depending on what really occurred during a storm. this one is obviously very unique. not only snow but potential for floods, coastal flooding and also high winds. dennis: question, in the era of twitter and online updates it seems we panic a lot more and the law earlier. our customers buying earlier and are they buying more in part because of twitter? >> i think they are more sensitive to be prepared. i use generators as a great example. in years past you saw folks who waited before the power went out to buy a generator. in today's environment particularly after the storms were named earlier they come out early and by the. dennis: thanks, good luck on this next challenge. cheryl: the biggest winner in the s&p 500 last year, home builder pulte group. we will speak to senior vice

president deborah meier about current market conditions. dennis: texas housing market is booming. we are live in the lone star state as fox business tells the real real-estate story we will continue. cheryl: let's take a look at the winners on the s&p. who is winning right now today? the microchip dollar tree, charles payne stocks will be right back. how do traders using technical analysis streamline their process? at fidelity, we do it by merging two tools into one. combining your customized charts with leading-edge analysis tools from recognia

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>> i am nicole petallides live on the floor of the new york stock exchange. every 15 minutes on the fox business network we do stocks now. apple, of course, this is a day after, it is at 475.

$435 recently. it continues to job as david einhorn, he wants shareholder value. he made it very well known yesterday. they are talking about the fact that he wants them to unleash and by. behind that voice recognition is nuance communication. the company failed to meet the expectations. i wanted to tell you guys, my sons, of course, realize this on their iphone. there is a male voice for siri.

dennis: my next guest says they will fly in between. you know, homebuilder stocks up 92% as much in 2012. and etf on homebuilders. you say there is still room to run. >> we are anticipating a 22% increase. we are in the second or third inning of a multi- year recovery in the housing industry. if you are not participating last year through equities, there is still time left. i see some of this stuff going up 30% this year. we are excited about the prospects. tight inventory levels, low interest rates, we finally have a price stability.

we under build during the last few years. dennis: give us a couple of your favorite. >> california and texas. we really like them there. best land assets in the u.s. best management team. we also like a company called pulte. dennis: how do you know when to pull out and pull back? >> never hold anything forever.

we are still in the early stages of it. we are about 30%. the long-term average for housing starts since 1891 is 1.4 million homes. we are about 950,000 is our forecast for 2015. the peak is over 2 million. dennis: one thing here, will the homebuilders overbuilt as they start buying into this recovery? do you worry government easy loans are pushing this recovery at the time where the average american household has maybe $7000 in cash and cannot afford a down payment? >> what could derail the housing recovery? in our view, we went into the recovery because the housing market failed, but housing will also lead us out of the recession. we are looking at increased housing growth to support job

creation. that should help drive consumer confidence. dennis: thank you so much. good luck. cheryl: we will have a guest from pulte coming up in just a bit. dennis: from texas to california, robert gray has the very latest on the housing boom. first, let's take a look at the ten year treasury. ♪ i'm a conservative investor. but that doesn't mean i don't want to make money. i love making money. i try to be smart with my investments. i also try to keep my costs down. what's your plan? ishares. low cost and tax efficient. find out why nine out of ten large professional investors choose ishares for their etfs.

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>> i am tracy byrnes with your fox business brief. stocks rising on the last trading day of the week. s&p and nasdaq are on track for their sixth consecutive weekly game. investors are bullish as the winter storm heads to the northeast today. shares hit an all-time high. the postal service reporting a 1.3 billion-dollar loss during the fourth quarter. not as bad as what it was same quarter last year. earlier this week, the usps

decided to end saturday delivery. that is the latest from the fox business network. giving you the power to prosper. ♪ all stations come over to mission a for a final go. this is for real this time. step seven point two one two. rify and lock. command is locked. five seconds. three, two, one. standing by for capture. the most innovative software on the planet... dragon is captured. is connecting today's leading companies to places beyond it. siemens. answers. we asked total strangers to watch it for us. thank you so much. i appreciate it. i'll be right back. they didn't take a dime. how much in fees does your bank take twatch your money? if your bank takes more money than a stranger,

you need an ally. ally bank. your money needs an ally. cheryl: deep in the heart of texas. people are flocking to the lone star state. joining me now is alex from the sharpton institute. people moving to texas. looks like 2012 is doing the same thing. bringing in homebuyers, but new population. >> i think you need to look at where people go. texas has been phenomenal at creating jobs through this

entire recession. it is an incredibly business friendly state. in 2009, while wife and i actually looked at the entire country. we decided to move our company out of austin. the rest of the world is starting to see the same thing. the business climate is so phenomenal here. cheryl: there is no state income tax. you and your wife have done many real estate transactions. inventory is super low. are we seeing a huge price jump? >> we are seeing appreciation. we are seeing inventories at lowe's. texas had guard rails up through the entire real estate run-up.

in texas, you cannot borrow more than 80%. we did not have that here. it was built in protection for homeowners. there has been filled and stability. we are seeing prices. they are not skyrocketing. they are moving up and a healthy manner. cheryl: we are taking a look -- the top ten healthiest cities. houston, fort worth, austin and san antonio. you see these big companies in texas. these are companies that are expanding and doing very well. i am wondering if there will be a big build in home building in this state because of the need

for housing. >> we are already starting to see it. you mentioned that companies that people know of. apple, facebook, amazon. we have companies around the country relocating here. we are seeing real estate really take off. cheryl: average price of a single-family home $92,509 in the great state of texas. thank you very much for being here. >> thank you for having me, cheryl. cheryl: a little biased about texas. dennis: $5 million or more.

just hit a record high in california. cheryl: we find robert ray who is standing by in hollywood hills california. robert: good afternoon. i am standing here and it is not only the home sales that are up, but luxury rentals also. you are looking to create a new niche. we have some video of the complex here. talk to us about how much it is and sort of why people would pay up to 40 grams a month in rental versus buying a home like this one in the hollywood hills. >> there is a market for a lot of different people. $5000 to $40,000 a month. in our place, it is all about freedom. it is about having choice and

the luxury of time. it is to be able to lock the door and take off and travel. they are living a more bicoastal or global life because of business. they do not want to be burdened by staff and housekeeping. robert: historically, a lot of these a-list or people would stay in four or $56 hotels. >> we are about 50%. hotels are great, but it is not your home. we can do everything for you. we have a car that takes you and drives you around town.

robert: with that, i will send it back to you in the studio. dennis: thank you very much, robert ray. i would like to be where you are today. one in five small businesses will adjust to obama care this year. some businesses say they have not come up with a plan to measure their healthcare costs this year at all. cheryl: it was the s&p's biggest winner last year. homebuilder pulte gained 188% in 2012.

deborah meier joins us next on how consumer demand is driving. ♪ officemax is celebrating our new collaboration with go daddy! with an online package including: domain name, website builder with five pages and basic email just $49.99! that's up to 76 percent below online providers and only at officemax stores! did you know not all fiber is the same? citrucel is different- it's the only fiber for regularity that won't cause excess gas. it's gentle and clinically proven to help restore and maintain regularity. look for citrucel today.

cheryl: the real estate recovery has given a big boost to the nation's homebuilder. pulte was the best performing stock on the s&p 500 for all of last year. they gained 188%. joining me right now is deborah meyer. how are conditions now? are you seeing a pickup in activity or are things slowing down a bit? >> we think the trend line will continue. there is a lot of factors that are positive indicators that there will be some continued strengthening.

you have low levels of inventory. you have interest rates. we will see where they go. the rental rates are still increasing. that is helping people make a lot of different choices whether to rent or own. most important, we are staying on that consumer and knowing what they need. cheryl: i want to ask you about the fires that you are seeing. are you getting a lot of those first-time buyers? when it was more expensive to rent and own, you have these 22, 23 and 25 -year-olds coming in to buy. >> we are seeing a dramatic shift in the marketplace and with the generations there is certainly a lot of pent-up demand out there. we look at what the internet

activity is. how many people are calling us or chatting with us to see how much interest is out there. people are doing a lot of research. cheryl: i want to talk to you about the different businesses that you have. where are you saying the most activity right now of the three businesses? >> i think we are seeing the first group to move is those move up buyers. the ones who have had experience. the want to understand financing and delayed decisions to move up to the larger home to accommodate their families. i think we will see our 55 plus active adult next. they have a lot of experience, but have been waiting for things to stabilize. a lot of great marketing efforts with them. we are seeing them get a lot more active online.

cheryl: a couple of market specific questions. we had a guest on from texas. inventory is incredibly low there. are you trying to buy more land in texas? are you trying to expand or in that state because of the inventory situation there? >> we are seeing a lot of activity over all. in the past year we had double-digit increases in sales. houston was performing very well. probably lead the taxes market overall. you are the largest builder by market right now. cheryl: deborah, thank you very much. >> thank you, cheryl. dennis: the bushes have been hacked.

the e-mails, some of which, detailed bush seniors healthcare details were hacked. one of the 88-year-old one term president in his hospital bed. cheryl: i hope they get those people. the real estate story continues all day here on the fox business network. the zillow talks with melissa and lori. >> we have tons of salt over 600 pieces of equipment ready. they will be diploid throughout the store. dennis: that is boston's mayor on the storm in the northeast.

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